Yantian Port bolsters Shenshan Port investment with strategic partner, provides loan

Shenzhen Yantian Port Holdings (SZSE:000088) announced an update on the capital increase and introduction of a strategic investor for its subsidiary, Shenshan Port Investment. Yangpu COSCO Shipping Special Transport Co., Ltd. will acquire a 20% stake in Shenshan Port Investment for a total investment of yuan 258,476,000. The initial capital contribution will be yuan 147,095,000, with an additional yuan 111,381,000 to follow based on project progress. This transaction constitutes a related party transaction.

In a related move, Yantian Port Holdings also disclosed plans to provide an entrusted loan of yuan 562,217,755.28 to its controlling subsidiary, Shenzhen Huishen Expressway Co., Ltd. The loan, with a term of 61 months and an interest rate based on the 5-year Loan Prime Rate minus 155 basis points, is intended to repay existing bank loans and aligns with the company's fundraising objectives.

The transactions aim to enhance Shenshan Port Investment's operational capabilities and optimize its capital structure, contributing to the development of Xiaomo International Logistics Port as a gateway port in the Guangdong-Hong Kong-Macao Greater Bay Area.